Shares of Inox Wind Ltd slipped off record high on Monday, ending in the red for the first time in three sessions. Earlier, the multibagger stock hit a record high for the fifth straight session. It rose to a high of Rs 254.20 on Monday and slipped 5.54% from that level.It ended 4.65% lower at Rs 240.10 against the previous close of Rs 251.80. The correction in the stock comes on a day when Sensex and Nifty hit their record highs. Sensex touched a high of 83,184 and Nifty hit a peak of 25,445.
In Monday's session, market cap of the firm fell to Rs 31,304 crore.
Total 14.21 lakh shares of the firm changed hands amounting to a turnover of Rs 34.83 crore on BSE.
Inox Wind shares have a beta of 1.4, indicating high volatility in a year. The multibagger green energy stock is trading higher than the 5 day, 10 day, 20 day, 30 day , 50 day, 100 day, 150 day and 200 day moving averages.
The stock has gained 105% in six months and risen 65.25% in three months. The multibagger stock has climbed 387% in a year and gained 562% in two years.
Kushal Gandhi, Technical Analyst, StoxBox said," Inox Wind has reached record highs and is significantly above its average levels. After an 80% increase from the July lows, the momentum of the price action appears to be waning. The daily RSI is trading flat in the overbought zone, and there is a price divergence on the higher timeframe. Despite higher closing prices in recent trading sessions, volumes have been decreasing. These are indicators that the stock may be overpriced, offering an unfavourable risk-reward proposition at the current market price. As a result, we recommend avoiding purchasing the stock."
Gaurav Bissa, VP, InCred Equities said, "Inox Wind has been in a strong uptrend. It has been trading in a strong ascending channel on the daily and weekly charts. It has witnessed a fresh breakout retest of this 4 year rising channel, which may push the stock towards Rs 275-280 levels. Also, it is on the cusp of witnessing breakout from a bullish penant pattern on the daily charts, which supports the price target of Rs 275-280. A move above 78 in RSI on daily charts can add another trigger to the stock prices. Existing investors are advised to hold their positions and fresh positions are advised at current levels for a 15 percent upside."
Inox Wind is an India-based integrated wind energy solutions provider. The company is engaged in the business of manufacture and sale of wind turbine generators (WTGs). It also provides erection, procurement and commissioning (EPC), operations and maintenance (O&M) and common infrastructure facilities services for WTGs and wind farm development services.